Skip to main content

This page has not been translated. Please go to PBGC.gov's Spanish home page for more information available in Spanish.

Esta página no ha sido traducida. Por favor vaya a la página principal del sitio de español de PBGC para ver información disponible en español.

Meeting of the Board of Directors of the Pension Benefit Guaranty Corporation June 1, 2016

Attendees

Department of Labor
Thomas E. Perez, Secretary of Labor and Chair of the PBGC Board of Directors
Phyllis C. Borzi, Assistant Secretary of Labor, Employee Benefits Security Administration
Judy Mares, Deputy Assistant Secretary of Labor, Employee Benefits Security Administration
Hilary Duke, Division Chief, Office of Policy and Research, Employee Benefits Security Administration
Carol Herzog, Special Assistant, Employee Benefits Security Administration  

Department of the Treasury
Jacob Lew, Secretary of the Treasury
Amias Gerety, Acting Assistant Secretary for Financial Institutions
Mark Iwry, Senior Advisor to the Secretary of the Treasury and Deputy Assistant Secretary (Retirement and Health Policy)
Philip Quinn, Senior Policy Analyst, Office of Financial Institutions Policy
Kim Egert, Senior Policy Advisor, Office of Financial Institutions
Hilary Brandenburg, Office of Financial Institutions  

Department of Commerce
Penny Pritzker, Secretary of Commerce
Justin Antonipillai, Counselor to the Secretary performing the duties of the Under Secretary of Economic Affairs
Rick Lattimer, Policy Analyst, Economics and Statistics Administration
Kenneth R. White, Policy Analyst, Economics and Statistics Administration

PBGC
Tom Reeder, Director
Ann Orr, Chief of Staff
Judith Starr, General Counsel and Secretary to the Board
Michael Rae, Deputy Chief Policy Officer
Chris Bone, Director, Policy Research and Analysis Department
David Foley, Director of Participant Services

PBGC Office of Inspector General
Bob Westbrooks, Inspector General
Nina Murphy, Assistant IG for Audits, Evaluations and Reviews
Conrad Quarles, Assistant IG for Investigations

PBGC Participant and Plan Sponsor Advocate
Constance Donovan, Participant and Plan Sponsor Advocate
Camille Castro, Associate Participant and Plan Sponsor Advocate

The Chair called the meeting to order at 1:37 p.m., following an executive session of the Board with the Director.  After a welcome by the Chair to all attendees, the meeting proceeded in accordance with the established agenda (Attachment 1).

Director Reeder offered his observations on the aftermath of the Central States suspension application denial and discussed with the Board potential legislative activity aimed at multiemployer plans.  He described his concerns about the continued exit of single-employer plans from the system through standard terminations, and discussed with the Board the reasons this is occurring.

Chris Bone, Director of the Policy, Research and Analysis Department, walked the Board through a graphic presentation of the insolvency risks facing PBGC's multiemployer program under a variety of scenarios.  In all of them the risks are concentrated and compressing, with the years 2023 through 2028 being the years with the greatest risks of insolvency. The Board discussed the benefits of prompt action and the need to communicate the cost of legislative inertia.  To that end, the Director advised that PBGC could provide data showing how the cost of dealing with the insolvency risk rises over the years.

Director Reeder then addressed PBGC's efforts to implement enterprise risk management, including the establishment of a risk management council, posting a vacancy for a risk management officer, completing an enterprise-wide risk assessment, and acting on open audit recommendations.

Inspector General Bob Westbrooks described activities undertaken to strengthen his office, including establishing his own enterprise risk management and quality management functions.  He introduced new head of audit Nina Murphy and new head of investigations Conrad Quarles.  Inspector General Westbrooks commended the Board and management for closure of a significant number of audit recommendations, leading to the lowest number of open recommendations in many years. He noted the challenges ahead with both enterprise risk management and additional risk management guidance forthcoming from OMB, and that his office would be overseeing that these responsibilities are met.

The Board then went into executive session with the Inspector General.  The meeting concluded at 2:30 p.m.  

Attachment 1

AGENDA   

MEETING OF THE BOARD OF DIRECTORS OF THE PENSION BENEFIT GUARANTY CORPORATION (PBGC)

Wednesday, June 1, 2016 1:00 p.m. - 2:30 p.m.

I. Board Member Executive Session
II. Introduction by Secretary Perez
III. Director's Report
IV. Multiemployer Plan Program
V. OIG Update
VI. Executive Session with the OIG

Last Updated: